Silver Sun to Close $390,000 First Tranche of Private Placement
Vancouver, British Columbia CANADA, August 16, 2012 /FSC/ - Silver Sun Resource Corp. (SSU - TSX Venture, SSUXF - OTCQX), reports that the Company has submitted to The Exchange for final approval, closing of the first tranche of the private placement previously announced on July 10th, 2012, for issuance of 3,250,000 units for gross proceeds of $390,000.
Under the terms of the Offering each unit consisted of one common share in the capital of the Company (each, a "Share") and one non-transferable common share purchase warrant (each, a "Warrant"). Each Warrant entitles the holder to purchase one additional common share of the Company (each, a "Warrant Share") for a period of two years from the date of closing as follows: at a price of $0.17 per Warrant Share during the first year and at a price of $0.25 per Warrant Share during the second year. The warrants will expire on July 9th, 2014.
Silver Sun intends to use the proceeds of the private placement for capital expenditures and expansion of the Cherry Hill Gold mine in Siskyou County, California, general working capital and corporate purposes. The Offering will be conducted on a non-brokered basis and Silver Sun may pay a finder's fee in cash and/or warrants in connection with the Offering.
Closing of the Offering is subject to customary conditions including TSX Venture Exchange approval. Any securities issued pursuant to the Offering will be subject to a hold period of four months and one day after closing of the offering under applicable Canadian securities laws. The Warrants will also be restricted securities subject to these restrictions.
About Silver Sun Resource Corp.
Silver Sun Resource Corp. is a Canadian-based resource company focused on the acquisition, exploration and development of precious metal deposits in North America. The Company is in the production stage with its gold project in Yreka, California and engaged in an on-going work program on the Zacatecas, Salvador, and Mina San Jose properties located within the prolific Zacatecas Silver District in Mexico, as well as its Yoreme Silver Project in the mining district of Alamos, Sonora State, Mexico. The Company has an experienced management team with a growth strategy to develop a diversified portfolio of mining projects that can be taken to production in the near-term. The company's design is to add shareholder value through efficient exploration, strategic acquisitions and effective marketing while maintaining a low risk profile through project diversification and sound financial management.
ON BEHALF OF THE BOARD OF DIRECTORS
"Mark A. McLeary"
Forward Looking Statements
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Silver Sun Resource Corp.
Mark McLeary, 604-678-2531 x226